"We're trading 40 per cent below what we think is a pretty average bunch of peers."

Mr Fenn said Downer was well placed and looking for acquisitions, having reduced net debt from $242.7 million to $32.7 million in a year and costs by 15.7 per cent in four years.

The company is depending on the Abbott government's massive spending commitment to infrastructure going smoothly to offset a mining slump.

All three of the company's mining, infrastructure and construction divisions contributed to the 16 per cent fall in revenue to $7.37 billion.

That was a surprise outside of the mining division, said Morningstar analyst Ross MacMillan.

"It was a very sobering outlook for anyone who has exposure to mining companies in Australia," Mr MacMillan said, pointing out that mining exposure represented well above half of Downer's earnings.

"You will continue to see this as the earnings reporting season continues: companies saying the outlook is pretty tough because of the mining downturn.

The big miners such as BHP, Rio Tinto and Fortescue were in a position of power, putting downward pressure on pricing from the contractors that did the actual mining and shifting risk as well, he said.

DOWNER BOOSTS PROFIT AND DIVIDEND

* Net profit of $216m, up 5.9pct from $203.9m in 2012/13

* Sales revenue of $7.37b, down 16.1 pct from $8.8b

* Final dividend of 12 cents per share full franked, up from 11 cents with 70 per cent franked